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This guy on forex factory is trading his system based around Power Levels and is blasting the market for all its got. Problem is, he won't tell how he generates his Power Levels (ie I think that they are possibly extra strong s/r levels). He is willing to allow traders to view his screen shots of trades but requires not to ask him how he creates these levels he trades off.

 

Look here: http://www.forexfactory.com/showthread.php?t=155533

 

Can anyone shed any light on how to calculate these levels he makes use of?

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He also has a web site that he charges $249/month to join his chatroom. Here it is:

 

http://www.wisdomfxtrading.com

 

The guy's results are apparently quite amazing. He claims to win on about 96% of his trades and often goes a whole month without a loss! That he traded it openly on Forex Factory for so long adds credibility to me (although I haven't had time yet to go thru that FF thread).

 

Am considering trying the chatroom for one month. If it's all true, this will be a no brainer!

 

Would appreciate if anyone who has been a member of the chatroom (and/or participated on Forex Factory) could give me details on if his methods are as profitable as claimed. Also, being a US trader, does he do some of his trading during US session or just London? Also any insight how he comes up with these levels and how he trades them... ???

 

This seems like the BIG ONE. One of the most awesome financial opportunities to come along in a lifetime! Let's hear some feedback, good fellows!

Edited by Diesel 10
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problem is he's trying to make you dependent on him, you need to find out how he calculates them. Does he disclose how he calculates them in his chatroom or is it just a signal service?

 

Ideally yes, however if you're making $1000's per day, I can live with not knowing how he calculates the Power Levels. Apparently he refuses to divulge how he does it...

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I live in US so I emailed them to see if would work for me. Here is their reply:

 

"I live in Sydney, so obviously I am not around in the room during the whole of US Session.

 

However levels are given out in advance on most cases, and trades do present themselves during US Session, which members do sucessfully take on their own.

 

I am in the room for the first few hours of US Session though, as well as pre-asian session (which is US evening/night).

 

Most of my members trade London, however the levels still come into play during US too.

 

I hope this clears things up, if not let me know and i will try to help more

 

Wiz"

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Hello all......after reading this post i did a bit of digging, appears this guy goes by a few names, one being fxdanny or dannyfx. Anyhow i found his blog and it appears he was a news trader for many years, then he suddenly liked the '5EMA system' (Aug 08), then started with these 'power levels'(may 09). Blog hasn't been updated since July 09 but from what i gather he just looks at the previous week and marks the S/R lines from that week and carry's them into the week ahead. Maybe you could try a zigzag indi and put a line at peaks etc...and see if the price rebound etc off these the following week

 

http://freeforextrades.blogspot.com/2009_06_01_archive.html

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. . . from what i gather he just looks at the previous week and marks the S/R lines from that week and carry's them into the week ahead . . .

http://freeforextrades.blogspot.com/2009_06_01_archive.html

 

You may well be right. Looking at his chart for the week's trading plan of June 22, 2009, just eyeballing the horizontal lines, assuming these are the power levels, then you can see most of them are S/R lines using previous pivot highs or lows.

 

But of course, he may also use other criterion or calculations to determine how strong those lines are, that we do not know about.

 

Although I agree with Diesel 10 that if it does work, and I can make $1000's every week, his cost is worth it. But psychologically speaking, personally I like to be more independent in my own trading. My fear is, before we can reach our retirement equity target, what happens if he decides to quit, or disappear, and no one can replicate his system? I know that will not be the end of the world. But still prefers to be more independent. Maybe this has more to do with my own trading psychology and personal mental make-up than anything else.

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You may well be right. Looking at his chart for the week's trading plan of June 22, 2009, just eyeballing the horizontal lines, assuming these are the power levels, then you can see most of them are S/R lines using previous pivot highs or lows.

 

But of course, he may also use other criterion or calculations to determine how strong those lines are, that we do not know about.

 

Although I agree with Diesel 10 that if it does work, and I can make $1000's every week, his cost is worth it. But psychologically speaking, personally I like to be more independent in my own trading. My fear is, before we can reach our retirement equity target, what happens if he decides to quit, or disappear, and no one can replicate his system? I know that will not be the end of the world. But still prefers to be more independent. Maybe this has more to do with my own trading psychology and personal mental make-up than anything else.

 

Sounds like cluster of support and resistance at these levels calculated from different Timeframes. Perhaps use Pivot scanner from fxalgotrader. ( there is an educated version on this forum... need to search.)

 

You tube video on this scanner is here:

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Can anyone shed any light on how to calculate these levels he makes use of?

 

*********

Take an intraday EurUsd or GbpUsd chart and draw horizontal lines at the 00, 20, 50 and 80 levels and see if you don't nail support and resistance levels every bit as accurately as this gentleman does. If one level is breached ( to the upside or downside) expect price to go to the next level. It looks like he starts scaling in a few pips above these levels for buys and below them for shorts.

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One thing that should be clarified is the use of the term "Pivot Points". Some folks use this term to mean Swing Point highs and lows. Other people use it to refer to floor trader pivot points R3, R2, R1, Central Pivot, S1, S2, S3. This distinction should be made for Newbies reading this thread so they don't get confused. Personally I never refer to "Swing Points" as "Pivot Points" for this reason...
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It would be a great help Diesel if you decided to become a member, make a note of his power levels and then apply some of the suggested levels mentioned above to a similar chart he is using for the days trading. Compare these with his, then we may be able to determine which levels he is using and probably how to create them for future trades. Only a suggestion.
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It would be a great help Diesel if you decided to become a member, make a note of his power levels and then apply some of the suggested levels mentioned above to a similar chart he is using for the days trading. Compare these with his, then we may be able to determine which levels he is using and probably how to create them for future trades. Only a suggestion.

 

Good idea Dave. IF I join, you folks will certainly be the beneficiaries. However, $250 a month is steep, plus his trading in apparently primarily London session (I'm US), so I am giving it some thought before I commit...

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To right Diesel it is costly per month. Here is a video on how he trades the lines. Not sure what it has to do with fapturboforex though.

 

http://www.myfapturboforex.com/18510/trading-power-levels-forex/

Edited by dave123
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Looking at the video posted by dave123, and trying to compare my own chart for 2nd week of May 2009, this time I fail to recognize previous highs/lows as obvious levels to draw the author's power lines. So I may have to eat my words from post #9. I no longer think his method is simply drawing horizontal lines from obvious historic support and resistance points. This makes me even more curious about how he arrives at his power levels. Too bad he does not intend to reveal his secret, even to his subscribers.
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Looking at the video posted by dave123, and trying to compare my own chart for 2nd week of May 2009, this time I fail to recognize previous highs/lows as obvious levels to draw the author's power lines. So I may have to eat my words from post #9. I no longer think his method is simply drawing horizontal lines from obvious historic support and resistance points. This makes me even more curious about how he arrives at his power levels. Too bad he does not intend to reveal his secret, even to his subscribers.

 

Has anyone checked whether or not this is some sort of a "market profile" indicator. That is, power lines being drawn at areas which have seen highest tick volume activity?

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This signal service sounds promising. I understand that there is only one trader sits behind the service. What if this guy is sick or on holiday?

 

''''My Journey Began published on forex factory in early 2009, where I Kept a track or live all my trades and power levels in real time. ''''

 

I wonder if this system has worked the past ten years.

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If you listen to the beginning of the video he (Wiz) says that he thinks the levels are released on Sunday evening. That to me indicates that he is getting this information from a third party.

 

It could be that he needs to some how factor in weekly data and/or where the market opens on Sunday after the weekend. ?

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